Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


No need of panic about upper North Island ports: PwC

No need of panic about upper North Island ports, PwC report says

By Pam Graham

Dec. 4 (BusinessDesk) – A report on ports in the upper North Island kills the idea that Northland’s natural deep water port may one day be a hub for container ships and doesn’t see New Zealand becoming a branch of an Australian hub port either.

The report by PwC commissioned by the Upper North Island Strategic Alliance also sees no need for a new port in the upper North Island or any need for existing ports to rush to invest in infrastructure to cater for larger container ships. The alliance is made up of representatives from the Northland, Auckland, Waikato and Bay of Plenty councils.

“Shipping lines expect to continue to serve New Zealand with smaller ships in the interim,” the report says.

There is no significant risk for exporters and importers associated with the timing of ports’ investment with respect to larger container ships. The report‘s solution to a forecast increase in trade over the next 30 years is for ports to become more efficient.

It says New Zealand ports are inefficient and have poor technology. If they improve they can handle projected demand for many decades. For years there has been debate about how long Auckland can have a commercial port on the waterfront of its central business district and development of Whangarei’s port has been seen as a long-term alternative.

But PWC said there would have to be a significant reduction in New Zealand’s high land transport costs before a container port at Whangarei “would make sense”.

The report says Ports of Auckland is below the New Zealand average on the efficiency measure of containers moved per crane per hour and Port of Tauranga is more efficient.

It says all ports need to improve technology, particularly by adopting automated container stacking systems to increase capacity in container yards.

Port capacity can be created by operational efficiencies, particularly in container handling and storage.
But the report did acknowledge that if Ports of Auckland could not expand its footprint growth would need to be accommodated at other upper North Island ports.

New Zealand ports were moving to a “hub and spoke” model and regional ports such as Timaru and Wellington were losing out, it said.

But New Zealand was not likely to become a spoke to an Australian hub port because Australian ports also lacked capacity to handle larger ships.

Each council will formally receive and consider the report at their appropriate December 2012 council or committee meetings.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Science Investment Plan: Universities Welcome Statement

Universities New Zealand has welcomed the National Statement of Science Investment released by the Government today... this is a critical document as it sets out the Government’s ten-year strategic direction that will guide future investment in New Zealand’s science system. More>>


Scouring: Cavalier Merger Would Extract 'Monopoly Rents' - Godfrey Hirst

A merger of Cavalier Wool Holdings and New Zealand Wool Services International's two wool scouring operations would create a monopoly, says carpet maker Godfrey Hirst. The Commerce Commission on Friday released its second draft determination on the merger, maintaining its view that the public benefits would outweigh the loss of competition. More>>


Scoop Review Of Books: She Means Business

As Foreman says in her conclusion, this is a business book. It opens with a brief biographical section followed by a collection of interesting tips for entrepreneurs... More>>


Hourly Wage Gap Grows: Gender Pay Gap Still Fixed At Fourteen Percent

“The totally unchanged pay gap is a slap in the face for women, families and the economy,” says Coalition spokesperson, Angela McLeod. Even worse, Māori and Pacific women face an outrageous pay gap of 28% and 33% when compared with the pay packets of Pākehā men. More>>


Housing: English On Housing Affordability And The Economy

"Long lead times in the planning process tend to drive prices higher in the upswing of the housing cycle. And those lead times increase the risk that eight years later, when additional supply arrives, the demand shock that spurred the additional supply has reversed. The resulting excess supply could produce a price crash..." More>>


Sweet Health: Sugary Drinks Banned From Hospitals And Health Boards

All hospitals and DHBs are expected to kick sugary drinks out of their premises. University of Auckland researcher, Dr Gerhard Sundborn who also heads public health advocacy group “FIZZ”, says he welcomes the initiative. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news